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To Whom It May Concern: I am having issues with the following: On January 1, 2018, Bowie Corp. had the following balances: Preferred Stock, ($100
To Whom It May Concern:
I am having issues with the following:
On January 1, 2018, Bowie Corp. had the following balances:
Preferred Stock, ($100 par value, 4% noncumulative, 50,000 shares authorized, 6,000 shares issued and outstanding)
$600,000
Common Stock ($5 par value, 200,000 shares authorized, 100,000 shares issued and outstanding)
$500,000
Paid-in Capital in Excess of par, Common
200,000
Retained Earnings
900,000
The following events occurred during the the year 2018:
- On January 1,Bowie Corp. declared a 4% stock dividend on its common stock when the market value of the common stock was $12 per share. Stock dividends were distributed on January 31 to shareholders as of January 25.
- On February 15, Bowie Corp.reacquired 500 shares of common stock for $12.50 each.
- On March 31, Bowie Corp. reissued 250 shares of treasury stock for $18 each.
- On July 1, Bowie Corp. reissued 250 shares of treasury stock for $10 each.
- On October 1, Bowie Corp. declared full year dividends for preferred stock and $2.00 cash dividends for outstanding shares and paid shareholders on October 15.
- On December 15, Bowie Corp. split common stock 2 shares for 1.
- Net Income for 2018 was $200,000.
The following areas that assistance is needed are:
- Prepare journal entries for the transactions listed above.
- Prepare the Stockholders' section of a classified balance sheet as of December 31, 2018
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